“Immediate Impact” in Housing from Rate Changes
Existing home sales fell in August … the two-year treasury yield is soaring … Russia threatens to use nukes … the lithium trade keeps climbing Today, let’s take a breather from the Fed. Instead, let’s look at some important headlines that are likely impacting your wealth. Existing home sales and home prices fell again in August Yesterday, the National Association of Realtors reported that sales of previously owned homes fell 0.4% from July to August. On a year-over-year basis, sales were down 19.9% from August 2021. It’s a sign that the red-hot housing market might finally be cooling off. On the price front, the median price of an existing home sold in August was $389,500. While that’s 7.7% higher than prices one year ago, it’s down from recent months. Here’s CNBC with more: Home prices historically drop from July to August, due to seasonality, but the drop this year was wider than usual, suggesting a significant softening. From June through August, prices usually decline about 2%, but this year they have fallen about 6%. “The housing market is showing an immediate impact from the changes in monetary policy,” said Lawrence Yun, chief economist for the Realtors.
“Immediate Impact” in Housing from Rate Changes
Existing home sales fell in August … the two-year treasury yield is soaring … Russia threatens to use nukes … the lithium trade keeps climbing Today, let’s take a breather from the Fed. Instead, let’s look at some important headlines that are likely impacting your wealth. Existing home sales and home prices fell again in August Yesterday, the National Association of Realtors reported that sales of previously owned homes fell 0.4% from July to August. On a year-over-year basis, sales were down 19.9% from August 2021. It’s a sign that the red-hot housing market might finally be cooling off. On the price front, the median price of an existing home sold in August was $389,500. While that’s 7.7% higher than prices one year ago, it’s down from recent months. Here’s CNBC with more: Home prices historically drop from July to August, due to seasonality, but the drop this year was wider than usual, suggesting a significant softening. From June through August, prices usually decline about 2%, but this year they have fallen about 6%. “The housing market is showing an immediate impact from the changes in monetary policy,” said Lawrence Yun, chief economist for the Realtors.